ece laws and ethics

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    MEMORANDUMCIRCULAR NO.: 8-9-95

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    SUBJECT:

    Implementing Rules and Regulations for

    Republic Act No. !"# Re:

    An Act to $romote and %o&ern t'e

    (e&elopment of $'ilippine

    Telecommunications and t'e (eli&er) of

    $ublic Telecommunications Ser&ices.

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    * RE$UB+IC ACT N,. !"# -

    or t'e purpose of an effecti&e and smoot'

    implementation of RA!"#/ t'e National

    Telecommunications Commission/ an attac'ed agenc)

    of t'e (epartment of Transportation and

    Communications 0(,TC1 and t'e principal administrator

    of RA!"# $ublic Telecommunications $olic) Act of

    2!!#1/ 'ereb) promulgates t'e 'ereunder ImplementingRules and Regulations.

    Not'ing in t'is Circular/ 'o3e&er/ s'all be

    constructed as delimiting t'e po3er , (,TC to monitor

    t'e implementation of t'is Act in accordance 3it' itmandate to ac'ie&e its responsibilit) for t'e de&elopment

    and maintenance of a long term strategic national

    de&elopment plan for telecommunications.

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    001 DEFINITION OF TERMS

    2. Access Charge 4 refers to a remuneration paid to a carrier b) t'e

    interconnecting carriers for accessing t'e facilities of suc' carrier

    3'ic' is needed b) t'e interconnecting carriers for t'e originationand5or termination of all t)pes of traffic deri&ed from t'e

    interconnection.

    ". Acta! C"st A##r"ach 4 refers to an approac' in traffic settlement

    3'ereb) t'e cost is allocated using a met'odolog) 3'ic' most

    appropriatel) reflects actual cost of t'e ser&ices.

    6. Cr"ss S$s%&' A##r"ach 4 refers to an approac' 3'ereb) a +E

    operator is entitled to some subsid) in t'e re&enue settlement to

    earn a rate of return on its local e7c'ange net3or8 in&estments

    t'at s'all be at parit) 3it' t'ose earned b) ot'er segments of t'e

    telecommunications industr).

    9. I(terc"((ect%"( Charge 4 refers to t'e sum of t'e access c'arge

    plus cross4subsid).

    #. )as%c Te!e#h"(e Ser*%ce 4 refers to t'e local e7c'ange telep'one

    ser&ice for residence and business establis'ments.

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    . U(%*ersa! Access 4 refers to t'e a&ailabilit) of reliable and

    affordable telecommunications ser&ice bot' urban and rural

    areas of t'e countr).

    . L"ca! E+cha(ge Area 4 refers to a defined geograp'ic areaaut'ori;ed b) t'e National Telecommunications Commission

    to a local e7c'ange operator.

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    . 22. Cert%/%cate "/ ,$!%c C"(*e(%e(ce a(& Necess%t'

    C,CN 4 refers to a grant consistent 3it' t'e

    telecommunications policies and ob>ecti&es to a ?ualified

    applicant/ after due notice and 'earing/ of a final aut'orit) to

    o3n/ operate and maintain a public telecommunications

    facilit)5ser&ice b) t'e National Telecommunications

    Commission.

    2". ,r"*%s%"(a! Ath"r%t' ,A 4 refers to an aut'orit)/ for alimited period/ granted to a ?ualified applicant to operate

    and maintain a public telecommunications facilit)5ser&ice b)

    t'e Commission/ pending t'e grant of t'e C$CN.

    26. C"%ss%"(4 refers to t'e National Telecommunications

    Commission.

    29. Net"r24 refers to a set of nodes and lin8s t'at pro&ides

    connections bet3een t3o or more defined points to

    accommodate telecommunication bet3een t'em.

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    By KVL;

    2#. E(ha(ce& Ser*%ce 4 refers to a ser&ice 3'ic' adds a feature

    or &alue not ordinaril) pro&ided b) a public telecommunications

    entit) suc' as format/ media con&ersion/ encr)ption/ en'anced

    securit) features/ computer processing/ and t'e li8e@ pro&idedt'at in t'e pro&ision of t'e en'anced ser&ice/ no la3/ rule/

    regulation or international con&ention on telecommunications is

    circum&ented or &iolated.

    2. 3"r2%(g a%( !%(es 4 refer to t'e subscribed main telep'one

    lines.2. ,TE4 refers to public telecommunications entit) as defined in

    RA!"#.

    2

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    100 LOCAL E4CAN6E LE SER7ICES

    a. T'e +E operator s'all pro&ide uni&ersal basic

    telep'one ser&ice capable of accessing local/national/ international and ot'er net3or8s

    3it'out discrimination to all applicants for suc'

    ser&ice 3it'in its defined aut'ori;ed ser&ice

    area5s and 3it'in t'e sc'edule dul) appro&ed

    b) t'e Commission.

    b. T'e +E operator s'all compl) 3it' t'e ser&ice

    performance and tec'nical standards specifiedunder C 2=424!= and C 2=424!=

    respecti&el) and ot'er standards 'ereafter

    prescribed b) t'e Commission.

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    c. $ublic telecommunications entities s'all not be allo3ed

    to e7pand or e7tend long distance ser&ice directl) to a

    person5entit)/ customer or end4user 3it'in t'e

    aut'ori;ed local e7c'ange ser&ice area of a dul)aut'ori;ed +E ser&ice operator e7cept in t'e follo3ing

    cases:

    2. 3'en t'e aut'ori;ed +E operator is unable to

    pro&ide ser&ice 3it'in t'e follo3ing response time: T3o 'undred fort) 0"9=1 da)s on t'e first )ear of

    t'e effecti&it) of t'is Circular.

    Si7t) 0=1 da)s on t'e second )ear of t'e

    effecti&it) of t'is Circular Ten 02=1 3or8ing da)s t'ereafter.

    and at standards prescribed b) t'e Commission

    pro&ided t'at t'e b)passing carrier 'as no unser&ed

    obligation in its assigned ser&ice areas.

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    ". 3'en t'e aut'ori;ed +E operator is unable to pro&ide

    3it'in ninet) 0!=1 da)s from date agreement at

    prescribed standards t'e re?uired interconnection

    arrangements.

    6. 3'en t'e aut'ori;ed +E operator is compensated in t'e

    amount agreed b) t'e parties. In case parties cannot

    reac' an agreement/ t'e matter can be broug't to t'e

    Commission for final action pursuant to Rule #2=. In

    cases 3'en t'ere are more t'an one 021 aut'ori;ed +Eoperators in one defined geograp'ic area/ t'e

    compensation s'all be di&ided in proportion 4 to t'e

    number of 3or8ing telep'one lines of eac' of t'e

    aut'ori;ed +E operators. T'e determination of t'e

    number of 3or8ing lines s'all be conducted ?uarterl).

    In an) of t'e abo&e e7ceptions/ t'e $TE s'all secure prior

    appro&al from t'e Commission t'roug' an administrati&e

    procedure to pro&ide direct connection to t'e

    subscribers5customers5end4users.

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    d. A dul) enfranc'ised entit) ma) be aut'ori;ed b) t'e

    Commission/ after due notice and 'earing/ to install/ operate

    and maintain a local e7c'ange net3or8 and pro&ide local

    e7c'ange ser&ice in t'e same local e7c'ange area 3'ere ane7isting aut'ori;ed local e7c'ange operator fail to satisf) t'e

    demand for local e7c'ange ser&ice. T'e demand for local

    e7c'ange ser&ice is considered satisfied 3'en != of all

    applications for local e7c'ange ser&ice 3it'in t'e last t'ree 061

    mont's are ser&ed 3it'in ten 02=1 3or8ing da)s from date ofapplication.

    e. T'e pro&isions on b)pass s'all onl) appl) to public s3itc'ed

    telep'one ser&ices.

    f. Aut'ori;ed +E operators s'all 'a&e t'e first option to pro&ide

    pa) telep'one ser&ices in t'e defined geograp'ic area co&eredb) its net3or8. ,t'er enfranc'ised telecommunications entities

    ma) be aut'ori;ed to pro&ide public calling stations or pa)

    telep'one stations in a gi&en local e7c'ange ser&ice area

    ser&ed b) an aut'ori;ed +E ser&ice operator after due notice

    and 'earing and upon determination of public need.

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    g. Aut'ori;ed +E operators s'all be entitled to fair and

    e?uitable re&enue s'aring arrangement pursuant to Rule

    #"=.

    '. T'e +E operator s'all use an) cost effecti&e tec'nolog) in

    fulfilling its responsibilit) of pro&iding uni&ersal basictelep'one ser&ice. T'e +E operator s'all endea&or to use

    state of t'e art tec'nolog).